call a dog. >> and good friend wrote me to say, happy birthday to my friend, and old boss. he claims he is 47. that a lie. summer it is 57. that is it for us, good night fr n york. neil: it is a good thing we don't hold u.s. government to same standards we do to apple, the company sells only 5 million iphones and the stock sells down. welcome back i am neil cavuto, that is difference between apple and washington, one sets standard, and other has no standard remember one's reputation is such that it could be deemed a disappointment by selling just a few million in

iphones. >> why, why, why? the question is not so much why we hold apple, to high standards, but why we don't hold the government to any standards. never punished for program that fail. and money wasted, stimulus checks, prison inmates, solar push for panels made in china. government subsidized check for chevy volts that don't sell. and stimulus that does not stim later, and regulation that stifle our very ability to innovate. in privacy sector companies would be pummeled for any one of these disappointment in, in public sector, part of government doing, here is difference, investors can sell, taxpayers cannot, does not mean you should sell apple, it means with the government you don't have that option. because unlike apple, you are stuck with a lemon. what is wrong with expecting

more from the government and getting more for money we pay to government? what is wrong with aspiring to be more like apple and less like a lemon? here is thrash it out, really manager larry mcdonald, and independent women's forum, sabrina shafer, why not hold the government to a apple-like standard. >> in government there is no market, in private sector there is one metric that matters, that is the bottom line, but public, there are so many different variables that go into decision making. so it is much harder to hold the government accountable. neil: you know, larry, i'm not asking for a high benchmark, i would love to see it, but, we're grateful if we're not wasting as much money as we thought, if the numbers are not as awful as we

feared, what happened ? >> we're leaving one thing out of the equation. it is risk. look at federal reserve, federal reserve itself is taking on 3 trillion-dollars of balance sheet risk, about 500 million more in last couple weeks with a new measure they took, there is no exit strategy, they have not delivered enough jobs, and they have taken $3 trillion worth of risk, without really getting us jobs and the risk reward, which is poor. neil: what is interesting about that argument, we're like buying a pipeline internet stock but not flying high. we are a greater risk than some of the riskier investment on wall street simply because we've been you know burning money like crazy in washington. >> that is right, and you know one thing that we have not mentioned yet, government agencies are rewarded for spending more money by getting

higher budgets for next year, the private sector subjecting how can i streamline things and work more efficiently, would steve jobs be talk about any of these issues fairness or values or would he say, how can i make the make product, most efficiently, and most afford abily, those are not terms that the government thinks about. neil: he shipped manufacturing overseas but that is a whole another issue. larry, to our unwillingness to hold the government account inor shrugging our shoulders whether it is not, it is built in now. it is expecting to whine and moan for a while, but then we'll move owhat do you think? >> i think that the rubber will meet the road in november, between november 10 and december 15 or so this fiscal cliff, will be showcased in front of the

nation, and it potentially $640 billion of tax increases and spending cuts, that probably will do a deal somewhere in $200 billion range, but that is where the rubber will meet the road, the promises will come closer and closer to reality, when they cain of work out -- kind of work out this fiscal cliff. neil: let's say whatever they cobble together is enough to keep, let's say, company or country in this case, viable for a few more months but realistically not. really accept if, and breathe a sigh of relief, but it is short lived, isn't it? >> that is right, there are a few costs and concentrated benefits, we don't necessarily feel it when we know there is 5 government agencies doing the same things at times, the same project. but people who benefit from it, they know, they are out there they are voting they are making a big deal on capitol hill. so it getting difficult to try

to reverse selection, but i -- direction, but i think we're in for a scary awakens. neil: we mentioned apple, that must say something about our recovery, half of our gdp point is centered around these phones, what becausdoes that mean. >> i want people to look at technology, i think that technology is really costing the u.s. a lot of jobs, look at apple, my wife and i had two pcs, now we have a pc and an ipad, look at hewlett-packard or dell stock, you can see the des may be that ipad and -- decimation that ipad and other companies are hurts technologies, and other companies like amazon, what they did to best buy. there is an interesting dynamic

playing out with technology that you have to dig into. neil: you have to argue that is creating other durjohning industries -- burgeoning industries, to point we'll never be implating apple model in our government that is what that i find regretable. >> we have elect, and an opportunity to vote people out, but whether we deal with a bureaucratic state like the one we have today it is difficult. neil: thank you very much. here is a another difference between apple and the government, apple can charge a lot for its gadgets, throngs of buyers will buy it no matter how much they try to raise that price, not remotely enough to cover the cost of slop they are selling there is a report out that even inf millionaires were

taxed 100%, everything they made right to government that would keep government running throw months out of -- 3 months out of the year. government's own math does not add up. that is staggering. >> it is a stunning statistic. it pays for about 3 months of government's yearly overhead. another way of looking at it is, that if they take every dop dollar that millionaires, you know millionaires and billionaires that obama loves to say, you will have a half trillion dollar shortfall in the budget still. so, where is mr. obama, president obama going to go for the difference? he is not cuts the budget. he has to go to middle class. neil: and raise taxes. >> got to raise taxes on middle class, you are right. neil: do you think he knows that if he is reelected he approaches

that? >> he really knows it, whether or not he wants to handle it or thinks he can kick the can down the road for 4 more years, i can not speak for him. but his millionaires and billionaire stuff, to me, this is a red herring, a diversion to keep spotlight off his miserably failed economic policies, the hallmark of any good business of any good manager is the ability to project your, managers who cannot project, are shown the door. looking at obamay record, projections in 2008, and 20009, by his own administration, 3 to 5 million jobs in green energy, all types of projects, local his

record, if any manager in private sector had made similar projections and were so far off the way he is, they would have been shown the door. neil: a very good point. a couple blocks away. secretary of state, herself was weighing in on why the rich need to pony up more, everywhere. >> around the world, the elite of every country are making money. there are rich people everywhe everywhere. and yet they do not contribute to the growth of their own countries. >> in france that i want to tax them 75%, and here we know 47%, pay no income taxes here. for a variety of reasons, but it is what it is, only fairway to correct it is zap those who are paying taxes. >> her statement, she just made,

if they don't contribute to growth of their country, that is a vulgar statement. take steve jobs, he has not contributed, you were giving statistics about gdp, to say steve jobs or some other brilliant entrepreneurs like him do not contribute to growth of the gdp of this country or the others that is a horrible inbelievable thing to hear, it is pure dem goingry. -- demagoguery, i have no other way of saying it but that is a stupid statement. neil: for secretary of state to have a global view that the rich are not helping their countries out, and they should pay out, shows the economic ignorance. >> that is right, that highlights difference between obama and romney, obama wants to pain the picture there is a few

nigh-- a finite pie, and with romney, everyone can have a bigger pie and share in it, hopefully he can make that vicible to people. whether we have the debates. neil: we'll see, wayne thank you very much. mitt romney is trying to focus more on voters, but republican saying unleashing paul ryan is the g.o.p.'s real ticket to a enough win. >> from program that brought you solyndra. comes another solyndra, we could be betting burned again. climate change. believe it, you fly they will tax you for it. so, no wonder the judge says, don't touch my junk. 4g lte has the fastest speeds.

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neil: paul ryan saying that conservative pundits are losing it and inflicting more harm on the republican ticket. rich edison on the message from the running mate, everyone onboard or we're going to lose it. what is your sense about how they are handling this internal intermuriel criticism. >> they say, it will end up shaking out in their favor there have been criticism from folks like governor scott walker who want to see paul ryan of old. we've been getting a little bit of, that back to those big charts as that we're accustomed to. i addressed it with him, i said, do you need to be someone different to get this to work, here is h what he said. >> final analysis, people see the clear choice that we're offering, contrast of two

different visions, i think we'll be fine, because, president obama is not working. he has failed leadership, he has chosen not to tackle this debt crisis, crammed by a partisan one side fits all government health care. and he has all these regulations, and stifling energy creation with the regulations, and promising huge tax increases in january, that will give us more economic malaise this is the worst recovery since the great depression. >> they have a run on that, three presidential debates, and vice presidential debates, but still in states like here in ohio and florida, president obama had the momentum. neil: but why are we not hearing more from ryan? that is not an orchestrated effort is it? what? >> there is always this idea that you don't want the vice presidential candidate to over take the president's candidate. reason they chose paul ryan, is because he was the an asset. he was to be the guy to come in

explain the things and i think a number of conservatives point out, he is not explaining enough. not out there enough with his details, he went to an a arp meeting this week, and got -- a arp meeting this weekend, and got booed, but you go into the lion's den, you take criticism, and explain why this is good for america. neil: i noticed you have more time two him, than my famous one-on-one at the republican convention. >> but he did say your interview of bit. neil: very good. country third largest hole builder lan lennar raking in ovr 1.1 billion last quarter.

john, with whether this shows if housing is recovery, john, i think with housing if we how is that bloodletting has stopped that people feel better, that appears to be the case. >>i think it is good news, market has bottomed. but it should have bottomed years ago if the government let the market clear, they extended the correction period, and made it worse. but, housing is a big driver in the economy. the interesting question is how much we should be in housing. federal reserve holding down long-term interest rates, incident in housing we got ask the crisis, -- housing is consumption, it is not investment, we have a country that is deep in debt, as a individual and the national level. so how much do you want is an

interesting question. neil: argument for, incentivizing that, we can only do better than where we are. we'll never get back to where we were, so every little bit helps, banks showing a greater will notion rented. -- to lend, and consumers more qualified. >> i think that housing beginning to recover is a good thing, but i think it is interesting that recovery was finally taking place, and fed is now through its qe3, program, reinnocentvise together again. neil: keeping rates artificially low longer than the desirable boomerraging on the economy you hope to create. >> and how does this undo all of the debt itself that fed has taken on. they have taken a lot of risks

tstosto incent a small level. >> i guess if you are administration your focus is short-term oriented for next 45 days or so, and you bank on people feeling a little bit better there about their financial worth, paper wilt, wild, or going into reading their bank statement or investment statement or 401(k) statement. showing they have appreciated a little bit more, and on taper, americans feel better about, that default to the incumbent because of that? >> i think that is true. now, how much people are incentive to do that is a difficult question, we take a lot of step with short-term positive consequences with

dramatic long term risks. neil: john, what has been failure of mitt romney toic pond what you did -- toic pounds what you dhe gets off message when the economy should be look, we're very grateful for presumably really lousy numbers, and we're grateful they are not as lousy as they thought or they have been. something is really per vetted about that, but he does not articulate that. as a result, i think that is why he trails in the battle ground state polls. >> i think that part of issue and i call passion and a morale certainty. you know, morale certainty, is a free market's work, i don't apologize for being succes succ, i am proud of creating wild and creating well biel this lac -- k of certainty makes it harder for

people to be supportive. neil: he seems on defense about his wealth, and he gave a third of his income to charity, i learned you can't win a campaign on defense. >> i would agree. you have to really be a deep advocate of individual rights, free market, and justice, if you produce a lot, you deserve a lot. you may choose, admit has done to give it away, you should be brought of that too -- proud of that too that kind of passion is what is missing. and obama has some passion. and people get that, and i think that is a very important form of communications, sometimes more important than words. neil: absolute please. you are right. john ellison, former ceo in washington good seeing you again. >> thank you, neil. neil: loans still going out even after a half a billion solyndra

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neil: plan. once burned who needs to be remotely shy, a company called solar power getting paid, to make solar paneling similar to those that solyndra made.

>> even high gas prices not pumping up electric car sales, that is bad news for president trying to give them a jolt. >> with more research and incentives we can break our depends on oil with biofuels and become first country to have a million electric vehicles on the road by 201592 i 20. neil: it is not working out that way, it will fall shy about 7 50,000 vehicles shy. professor, hope always springs eternal but yet to pan out. >> this happens with every new technology, government has invested in timber, cole, nuclear you know billions in gas and oil and fracking, we're investing just a smidgeon in

green technology. this will payoff eventually, we saw this with hybrid cars it took wetter part of a decade for adoption curve for citizens to buy. we have two million hybrids on the road. hope does spring eternal. neil: forget about today's environment. where we don't have time to wait or money to wait. but technology are proven in regular marketplace whether folks want it. the plug in car concept is something they have not wanted, they have gone to other hybrid types but not this variety. for all underwriting and subsidy, when people 7 out the hybrids, -- search out these hybrids they don't go in this direct, maybe the message for government is stay the hell out. >> i think there are other market forces at play like

2 billion that gas and oil lobby has put in to kill the electric car and cleaner technology in last 10 years. neil: you know it has not hurt prius sales or leaf sales or other vehicles you could argue might have been attacked by government-run interests. they have really done well despite that. >> it took a while. and people had to be comfortable with it there are concerns about electric, companies have not done a good job of educating the public. if we had electric cars on road right now, car companies would lose money, they cost almost nothing in terms of repair. neil: but, gm makes these cars, and ford does. it is in their interest to make money hand over fist to make more of them, you treat consumers like they are dolts, they don't know the wonderful

benefits. i think people are smarter than you say. >> i don't think they are dolts, i think there is concern about how far they can go, and concern about the cost, that is where government come in. and companies are not pushing as hard as they could, the film, who killed the electric car, shows that the companies are reluctant to go in this direct, they will lose money. we will win though because of clean air. >> professor, they would pay the price if it are worth it like apple products, people pay a pripremium, because they think y get more bang efficient their buck, they have -- bang for their buck but they have said not with this. >> i don't think we see is in sales, sales of volt and leaf are going up and prius is offering. neil: what do you mean, volt?

volt sales. >> there is no demand. >> they go up year after year, at a smaller pace than leave, buleaf right now we're up to 48- >> you think they will come in. >> i think without oil lobby working against this, and misinforming customers, i think that if we learned more about this, this market would explode. neil: oil lobby of note keen on prius. they got in the prius, realized it is a great car, big guys can fit in them. >> the same thing with the electric car, just a matter of time. neil: no, the electric car stinks, offering that we have stink. we have to recognize, if consumers loved it they would have flocked to it. >> it is not true, consumer respect show that volt owners like their car, they rated it highest, they don't stink.

jim: volt owners are richer than average taxpayer. >> true, i wish that costs would come down. neil: they are never going to stay anything bad about it. >> i would disagree. i think if you have a lot of money, why not spend it iso a luxury vehicle by. >> it is a status symbol. >> that true, i wish they were afford rabble for -- affordable for everyone, the government needs to invest in this technology. neil: oh, my god, professor, you are lucky i love you, it is always fun, thank you. >> do you remember this french-sounding guy. >> since you mentioned north america, this is originated in north america. neil: then this australia guy out of the blue. >> acknowledge the biggest threat to world's biggest economy, the cranks and crazies that have taken over, the

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the automatic fiscal cuts. they will send world into a tailspin. >> not the threat just for the united states of america this is the threat for the global economy given the size of the u.s. economy, and its linkages with many other countries in the globe. neil: so there you have it all on us, the whole globe. our fiscal mess in u.s. is a bis mess for the whole world. are you kidding me? france digs itself into a deeper hold every day,ments ts wants te richest at 75% there that is fine, we want to imminent minor cuts over the course of a decade, that is not find? i don't think so pepe . i call it selective sides on

point of europeans who would sooner point a finger at us, than look at themselves in the mirror. they have built their finish toilet, and they blame it on us, that stinks. last i checked it is your bed that is sinking, your treasured club getting clubbed, and your euro is the real zero, it takes call tor crist to -- gall for crist to sound so punchy, in any access or language, how shall i say it le pew . this just in. a lot of votes already in, with millions of americans voting early, this makes you rethink of strategy of a end of media campaign blitz. want to try to crack it? yeah, that's the way to do it!

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neil: the mid mitt says he will focus less on fundraiser, more on connecting with voters but republicans better get moving on spending that. news today that one out of three voters, i am surprised, the likely cast their ballot before election day, president's biggest supporters getting big paychecks, a majority of public sector workers make 60% more than their counterparts in private sector that includes benefits. and washington taking a big bite of the banks and their customer average monthly fee for a checking account soaring 25%, at a record high, banks are jacking fees to comply with the new regulations, and as banks get bogged down, fight over taxing heats up, europe is touting a carbon tax on airlines, any and

all flights in and out of europe have to pony' a fee to help fight global warming, but that is not passing our u.s. senate. and u.s. airlines do not have to comply but the judge said easier said than done, judge napolitano, no fan of it but, saying if you flyover there, you play by their rules. >> you put me in an awkward position of defending a tax, but countries have sovereignty, we ought to have known when we more or less supported and went with the european union it would be a gaggle of socialists who would try to extract as much money from private industry, but american airlines, i do not mean -- well i mean airlines that originate in united states have no choice but to pay that tax if

they are going to land there. wherever you are, the sovereign of that land has the authority to tax you. neil: whether you find it fair or not. the foreign airlines that have to come here may homeland security tax, that is how we do business here. >> correct, we have. neil: i just want to said that judge napolitano is in favor of a tax. >> negative. but i am in a ac washed position of say -- awkward position of saying under our present international law. they can tax an american commercial enterprise when they do business in europe, whether federal government believes it is a 1r5 1r58 valid tax they can

attract it and do what they want with it. even a dedicated tax does not have to go to proposition for which it is dedicated. once it is no longer in the tax payers find, it belongs to the government, that is the way it works here too. how did i let you do this to me? >> thank you very much. >> so president said israel is one of our closest allies in the region. i have a man of the region, i say to myself, self, who is right up there with them. right up there with them. me, i know netanyahu, and i'm seems they haven't been moving much lately. but things are starting to turn around because of business people like you.

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>> now i feel an obligation, to make sure that we're in close consultation with the israelis on these issues, it affects them deeply, they are one of our closest allies in the region. neil: no wonder president obama never wanted to meet with netanyahu, if he did he would have to meet with other nations, my next guest is worried, former deputy secretary of state. >> i think that president obama is doing everything he can to prevent all other nations in middle east from doing anything before the november 6 election. this is all about postponing action, making sure that he does not get put on the spot, i would like to know, what i he counts r

allies, there are none but iz reality. neil: closest one maybe, we get something from economically, a quid pro quo is saudi arabia even that is a stretch. but, i am telling you too put them in the same league as israel is an insult. i do not believe that anything that president says is an accidental comment, that was very well timed and clearly ar particulated -- articulated. >> i think he is delaying things until after the election, and not in a position of taking responsibility and leading on anything. looking at what he has done in the past 3 3/4's year, he is working hard to make sure we're not a super power, if it continues we're not going to be able to defend our allies, and israel only one in east, in the world, our own interests, you on

allies, we will be shrinking in power. heaven forbid wild b we'll be a. neil: don't go that far. but, if being nice to the rising muslim populations has not too helped us any more than wrap that president had toward president bush tough with them during his administration, maybe we're trying to appease people who cannot stand us. and knowing that now he will change that? >> i think their culture, and their ideology, i think that we cannot make peace with them. but we can peacefully coexist with them, not down the path to obama wants. neil: what would you change, because if seems this is widespread, getting worse, volatile and getting more so, what would you do?

>> just for starters, i would cut off foreign aid to egypt, paying them 1.3 million to riot in front of our embassy. neil: but the president of egypt heck tireelocke--lectures us a . >> so what, they are a bunch of tin pot dictators, we need to stand up tall against iran, we've not seen any instance since 199 199 199. we have to stand next to israel. neil: well put thank you. >> thank you, sir. neil: 2 weeks away from first big debate, already media is stacks against mitt, i want to read the media's already well

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is it fair to say romney's 47 first comment, why not fair to say, we're at 47% because people are out of work. no, not fair, not right. not here to say to give rom no a pass, just pass same scrutiny to both. 14% of taxes he gives a lot to charity, is there any harm to study the guy -- gives a lot less to charity. i mean does it strike you as odd same media, that mitt romney, does not say a thing about president sandwiching in an appearance now on the view, same media is a they'd the tame venues are silly but goes after romney for nixing an appearance on snl, you can't have both way, treat both candidates the same, if romney sounds clueless, we're

reportedly writing off half of voters in country. is not president doing the same scrutiny. did we not elect him to gittin side, is he saying his opponent is clueless because he is on the ououtside. romney is a dolit for attacking our middle east policy but not the president for not knowing the policy. we can't make it up. you better make sure you are ripping both or you prove you had no standard, actually you prove you have one standard electing the guy you like, not the guy you don't. that is when it gets offensive, when you take ofin t offense toy one gay